Sprint, Softbank to shun Chinese networking equipment

National security fears lead to restrictions on proposed merger.

Sprint Nextel and its new owner will limit their use of technology made by Chinese companies, and allow US national security officials to monitor changes to their equipment. The pending agreement will help them gain US approval of SoftBank's $20 billion acquisition of Sprint.

US officials have accused Chinese firms Huawei and ZTE of having close ties with the Chinese government and military. They claim the companies' equipment raises the threat of "cyber-espionage" or attacks on US communications networks, although a White House review last year found no clear evidence that Huawei spied for China.

The New York Times last night quoted anonymous government officials as saying that Sprint Nextel and the Japanese SoftBank "are expected to enter an agreement with American law enforcement officials that will restrict the combined company’s ability to pick suppliers for its telecommunications equipment and systems." Further, "The agreement would allow national security officials to monitor changes to the company’s system of routers, servers and switches, among other equipment and processes, the officials said. It would also let them keep a close watch on the extent to which Sprint and SoftBank use equipment from Chinese manufacturers, particularly Huawei Technologies."

Sprint and SoftBank downplayed concerns about Huawei in an FCC filing, but nonetheless have promised members of Congress they won't use equipment made by Huawei in US-based networks. This will include replacing Huawei equipment in the Clearwire network Sprint is acquiring. The newly reported agreement with US officials would appear to put that promise into writing, allowing the US to verify the companies' compliance first-hand.

Lol, so we'll just put Foxconn boards in all our machines so they can be backdoor access right at the source! Forward thinking there guys.

Basically, having China manufacture or supply ANY computer hardware is a safe as say, trusting a bank in Russia to keep your money safe. Any tech sent over to China to be made on the cheap by US companies can be guaranteed to be reverse engineered, copied, and used against us in any way possible.

If anyone was thinking past how much money they could make off Chinese labor, we would have banned any tech more complex than a Walkman from being made there decades ago. Too late to worry about it now.

I think this is good. If the government wasn't keeping an eye on our critical network infrastructure and instead just blinding allowing any equipment to be installed on it then we would be just asking for trouble.

Another way to target a large successful Chinese company. Seems more than a little underhanded to use a FCC approval as a way to attack another company. Force them to standards sure, but who they can and can't buy from is despicable and should be scorned.

Holy crap, what a way to increase the governments already vast spying power by framing it as protecting against cyber-espionage from China lmao. For all the kiddies out there, this is what we call "spin" at its finest.

Another way to target a large successful Chinese company. Seems more than a little underhanded to use a FCC approval as a way to attack another company. Force them to standards sure, but who they can and can't buy from is despicable and should be scorned.

Another way of looking at it is, functionally, a form of trade sanctions as a response to Chinese hacking. But because it is indirect rather than simply sticking them with a tariff, it's less likely to start a trade war. In that sense it is too bad for the individual companies that get targeted, but the same would be true if things ratched up to an all-out trade war. The intent is always that those companies will lobby and get their government to change its conduct. (E.g. cover up their hacking better. I mean, let's be realistic here.)

Its a political move on Softbank/Sprint's part. They want Softbank's money. In order for that to happen. You need approval from certain government organizations. They just went sort of "We'll use network equipment only made in the USA" because hell that's not going to happen .

This is just part of the philosophical struggle of democracy against totalitarianism. China is willing to use any means to win this struggle and has displayed no regard for human rights or international law, much less intellectual property rights. Depending on your perspective the American government may be no better, although I personally think the U.S. is much closer to being free and democratic. The Chinese government is here to win it all at any cost, and Americans need to understand that this fight has been happening for decades now.

*Just making sure the Chinese national propagandists are scared off this discussion.

Another way to target a large successful Chinese company. Seems more than a little underhanded to use a FCC approval as a way to attack another company. Force them to standards sure, but who they can and can't buy from is despicable and should be scorned.

Well, the difference between a 'large successful Chinese company' and the ChiCom government is pretty non-existant. Add the PLA into the mix as yet another strand in the Gordian knot and you've got a heck of a mix of party corruption, military corruption, xenophobic racism, and totalitarianism. with a (un)healthy dose of cut-throat capitalism just to sauce it up a bit.

This is just part of the philosophical struggle of democracy against totalitarianism. China is willing to use any means to win this struggle and has displayed no regard for human rights or international law, much less intellectual property rights. Depending on your perspective the American government may be no better, although I personally think the U.S. is much closer to being free and democratic. The Chinese government is here to win it all at any cost, and Americans need to understand that this fight has been happening for decades now.

*Just making sure the Chinese national propagandists are scared off this discussion.

Americans have freedom and democracy, you just need to have the money to buy it from the politicians.

It is more that the U.S. government wants to be the only one doing the spying, I think.

Within our borders, you could make a case for that being a legitimate stance.

(Pesky Bill of Rights.)

((Actually, not nearly pesky enough.))

As much as I am loathe to agree with it, the paranoid anti-grovernment types are occasionally right and the Bill of Rights has been eroded to some extent with things like the PATRIOT Act amongst others. All you have to do is throw the words "fight terrorism," "protect freedom," (rather ironically at that) and something about "security" and they'll pass a law without thinking twice.

It is more that the U.S. government wants to be the only one doing the spying, I think.

Within our borders, you could make a case for that being a legitimate stance.

(Pesky Bill of Rights.)

((Actually, not nearly pesky enough.))

As much as I am loathe to agree with it, the paranoid anti-grovernment types are occasionally right and the Bill of Rights has been eroded to some extent with things like the PATRIOT Act amongst others. All you have to do is throw the words "fight terrorism," "protect freedom," (rather ironically at that) and something about "security" and they'll pass a law without thinking twice.

It is more that the U.S. government wants to be the only one doing the spying, I think.

Within our borders, you could make a case for that being a legitimate stance.

(Pesky Bill of Rights.)

((Actually, not nearly pesky enough.))

As much as I am loathe to agree with it, the paranoid anti-grovernment types are occasionally right and the Bill of Rights has been eroded to some extent with things like the PATRIOT Act amongst others. All you have to do is throw the words "fight terrorism," "protect freedom," (rather ironically at that) and something about "security" and they'll pass a law without thinking twice.

Those who give up freedom for safety deserve neither.

Lol, so says those trying to take away your freedom by offering "safety"

It is more that the U.S. government wants to be the only one doing the spying, I think.

Within our borders, you could make a case for that being a legitimate stance.

(Pesky Bill of Rights.)

((Actually, not nearly pesky enough.))

As much as I am loathe to agree with it, the paranoid anti-grovernment types are occasionally right and the Bill of Rights has been eroded to some extent with things like the PATRIOT Act amongst others. All you have to do is throw the words "fight terrorism," "protect freedom," (rather ironically at that) and something about "security" and they'll pass a law without thinking twice.

Those who give up freedom for safety deserve neither.

Lol, so says those trying to take away your freedom by offering "safety"

Whose freedom is being taken away? I do not consider corporations as individuals.

Another way to target a large successful Chinese company. Seems more than a little underhanded to use a FCC approval as a way to attack another company. Force them to standards sure, but who they can and can't buy from is despicable and should be scorned.

Well, the difference between a 'large successful Chinese company' and the ChiCom government is pretty non-existant. Add the PLA into the mix as yet another strand in the Gordian knot and you've got a heck of a mix of party corruption, military corruption, xenophobic racism, and totalitarianism. with a (un)healthy dose of cut-throat capitalism just to sauce it up a bit.

Look in the mirror my friend. Look in the mirror.

What is the difference between the political interests and the military industrial complex? The incestuous nature of US politics and military establishment is on par with China's. It is the nature of central government and those that profit from it. The government needs work done. People step up to do it. Corporations are the current method to get things done.

Another way to target a large successful Chinese company. Seems more than a little underhanded to use a FCC approval as a way to attack another company. Force them to standards sure, but who they can and can't buy from is despicable and should be scorned.

Well, the difference between a 'large successful Chinese company' and the ChiCom government is pretty non-existant. Add the PLA into the mix as yet another strand in the Gordian knot and you've got a heck of a mix of party corruption, military corruption, xenophobic racism, and totalitarianism. with a (un)healthy dose of cut-throat capitalism just to sauce it up a bit.

Look in the mirror my friend. Look in the mirror.

What is the difference between the political interests and the military industrial complex? The incestuous nature of US politics and military establishment is on par with China's. It is the nature of central government and those that profit from it. The government needs work done. People step up to do it. Corporations are the current method to get things done.

When I look in the mirror I see a country that is not without blemishes, but which nevertheless does not engage in government-supported industrial espionage for commercial ends. The same cannot be said of China.

Understand that Japan is just as, if not more, susceptible to cyber-espionage from China. Even if the US government didn't add a clause like this to approve the merger, I'm sure the Japanese government would want some assurances from their telecommunication companies that security measures are in place.

This is the reality going forward. As long as there's such things as countries, there's always going to be some level of paranoia about dangers in both security at home and abroad. It's just human nature.

Another way to target a large successful Chinese company. Seems more than a little underhanded to use a FCC approval as a way to attack another company. Force them to standards sure, but who they can and can't buy from is despicable and should be scorned.

Well, the difference between a 'large successful Chinese company' and the ChiCom government is pretty non-existant. Add the PLA into the mix as yet another strand in the Gordian knot and you've got a heck of a mix of party corruption, military corruption, xenophobic racism, and totalitarianism. with a (un)healthy dose of cut-throat capitalism just to sauce it up a bit.

Look in the mirror my friend. Look in the mirror.

What is the difference between the political interests and the military industrial complex? The incestuous nature of US politics and military establishment is on par with China's. It is the nature of central government and those that profit from it. The government needs work done. People step up to do it. Corporations are the current method to get things done.

When I look in the mirror I see a country that is not without blemishes, but which nevertheless does not engage in government-supported industrial espionage for commercial ends. The same cannot be said of China.

What makes you think this? Because Chinese companies hack, does that mean state sponsorship? Pretty big charge. What evidence do you have? Oh wait....the government didn't want to disclose this instead push out innuendo. Then have their proxies that are hired put out stupid reports that are easily seen through that is spoon fed to the media. Yeah your propaganda. How much free speech and the balance that the press is suppose to exert, the shining light....happens when you have massive multinational companies that own nearly all the news outlets you might get information from. All now toe the line as you never know when the multi national corporation might need help with foreign governments or information, or the next merger or acquisition? Or perhaps to keep a critical local corporation like Cisco profitable and under their sway.

Another way to target a large successful Chinese company. Seems more than a little underhanded to use a FCC approval as a way to attack another company. Force them to standards sure, but who they can and can't buy from is despicable and should be scorned.

Well, the difference between a 'large successful Chinese company' and the ChiCom government is pretty non-existant. Add the PLA into the mix as yet another strand in the Gordian knot and you've got a heck of a mix of party corruption, military corruption, xenophobic racism, and totalitarianism. with a (un)healthy dose of cut-throat capitalism just to sauce it up a bit.

Look in the mirror my friend. Look in the mirror.

What is the difference between the political interests and the military industrial complex? The incestuous nature of US politics and military establishment is on par with China's. It is the nature of central government and those that profit from it. The government needs work done. People step up to do it. Corporations are the current method to get things done.

When I look in the mirror I see a country that is not without blemishes, but which nevertheless does not engage in government-supported industrial espionage for commercial ends. The same cannot be said of China.

What makes you think this? Because Chinese companies hack, does that mean state sponsorship? Pretty big charge. What evidence do you have? Oh wait....the government didn't want to disclose this instead push out innuendo. Then have their proxies that are hired put out stupid reports that are easily seen through that is spoon fed to the media. Yeah your propaganda. How much free speech and the balance that the press is suppose to exert, the shining light....happens when you have massive multinational companies that own nearly all the news outlets you might get information from. All now toe the line as you never know when the multi national corporation might need help with foreign governments or information, or the next merger or acquisition? Or perhaps to keep a critical local corporation like Cisco profitable and under their sway.

But yeah keep looking in that mirror of wishful thinking.

http://intelreport.mandiant.com/ is pretty detailed. It requires a better rebuttal than "stupid reports that are easily seen through that is spoon fed to the media". Ad hominem attacks are not a persuasive response. That nothing else has been offered strongly suggests that there is nothing else that can be offered.

Critical US infrastructure vs. a country with a 100% blatant in your face willingness to hack and trojan and steal from everyone. What's left to wonder about?

It's not like the Chinese are doing anything the US wasn't doing at the same stage of its development (100-120 years ago). Ask WS Gilbert about the (unsuccessful) lengths to which he and Sir Arthur Sullivan went to protect their intellectual property from those thieving Americans.